Gold royalties. What do you know about them?

SmallCapFirm

(NYSE: GROY) Could Jump Monday's Bell Behind These 3 Must-Know Potential Catalysts

February 12th

SCF Readers,

Gold royalties. What do you know about them?

Royalty companies offer a distinctive way to gain access to precious metals without being exposed to the operational risks associated with traditional mining enterprises.

And did you know that the current spot price of gold is hovering near its historical peak? Take a look:

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So what exactly are we talking about here?

We're talking about a precious metals-focused royalty company, providing financing solutions to the metals and mining industry.

This under-the-radar gem strategically acquires royalties, streams, and comparable interests throughout different stages of the mine life cycle.

And quite recently, this company pulled off a WHOPPER of an acquisition when they scooped up a portfolio filled with 21 royalties located in Québec.

With moves like that, it's no surprise that an average analyst target is pointing towards a potential 150+% upside from current chart levels for this NYSE American profile.

So, when I also saw the company had fired off and completed another major move in December in acquiring another huge royalty, I knew it was the perfect time to get this breakout idea on your radar ASAP.

Listen. Drop everything and pull up:

*Gold Royalty Corp. (GROY)*

Gold Royalty Corp. is a gold-focused royalty company offering creative fi-nan-cing solutions to the metals and mining industry.

Its mission is to acquire royalties, streams and similar interests at varying stages of the mine life cycle to build a balanced portfolio.

Gold Royalty's diversified portfolio currently consists primarily of net smelter return royalties on gold properties located in the Americas.

Gold Royalty Corp.'s Featured Royalties

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Gold Royalty’s diversified portfolio consists of over 200 royalties located in mining friendly jurisdictions throughout the Americas.

This provides a lower risk exposure to gold with free exploration upside on the underlying projects.

And GROY's 3 featured royalties with The Odyssey Project, The Côté Gold Project, and The REN Project, is must see-stuff.

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Odyssey (Canadian Malartic Underground)

Cornerstone Royalty on One of Canada’s Largest Gold Mines

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The Odyssey Underground Project ("Odyssey") is the underground extension of the Canadian Malartic open-pit mine set to become Canada's largest underground mine.

The current mine plan envisions 500k to 600k ounces of annual production until 2039, however there is the strong potential to increase the annual throughput and life of mine given the excess plant capacity and significant underlying mineral resources that are not currently in the mine plan.

Gold Royalty's 3.0% NSR covers a significant portion of the mineralization at Odyssey, primarily over the Odyssey North and East Malartic deposits, while also covering a smaller portion of the Norrie Zone and currently producing Barnat Pit.

Côté Gold Project

Tier 1 Generational Asset with Ongoing Development & Exploration Success

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The Côté Gold Project ("Côté") is a tier one generational asset located within the District of Sudbury, in northeastern Ontario, Canada.

The current technical report mine plan outlines a 37,200 tpd open pit operation with estimated average annual production of 495k oz Au over the first 6 years of operation, and average annual production of 365k oz Au over the 18-year mine life to become one of Canada's largest gold mines.

As of December 31, 2022, the Côté Gold project was estimated to be approximately 73% complete and is expected to commence production in early 2024.

REN Project

Northern Underground Extension of the Goldstrike Mine

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The REN Project ("REN") is an underground, high-grade deposit currently being developed as the northern, underground extension of the Goldstrike Mine, along the Carlin Trend in Nevada, USA.

REN is located along the Carlin Trend which has produced over 70Mn ounces of gold.

The Carlin complex includes the Goldstrike Mine, which is the largest gold mine in the United States and has produced over 60 million ounces of gold, as well as REN, over which Gold Royalty holds a 1.5% NSR and a 3.5% NPI.

REN's mineral resource estimate is expected to grow in 2023 to support their previously mentioned plan to incorporate REN into the Carlin complex production plan in the near term. At a grade of over 7.0 g/t, REN represents attractive supplemental feed to the Carlin complex which produced at an average grade of 3.60 g/t in 2022.

Grab Key Sources Here: Company Website. Company Presentation.

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And then there's this...

3 potential breakout catalysts to watch for immediately.

Here's our main focus today:

#1. An Average Analyst Target Points To Huge Upside Potential (Over 150%).

Over at TipRanks, this is what we see:

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They're reporting that 3 analysts are providing price targets averaging $3.67.

From GROY's closing valuation on Friday, this average target gives off a potential upside of over 150%!

And with a high target of $5.50 (providing over 250% potential upside), GROY needs full focus in the immediate term from what may be considered undervalued chart levels.

Plus, this...

#2. A Major Portfolio Acquisition Shows GROY Means Business (21 Royalties In Total).

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VANCOUVER, BC, Dec. 21, 2023 /CNW/ - Gold Royalty Corp. ("Gold Royalty" or the "Company") (NYSE American: GROY) is pleased to announce that, further to its news release dated November 2, 2023, it has completed the acquisition of a portfolio of 21 royalties located in Québec from SOQUEM (Société Québécoise d'exploration minière), a subsidiary of Investissement Québec.

Pursuant to the transaction, the Company acquired the royalty portfolio for consideration C$1.0Mn, which was satisfied through the issuance of 496,785 common shares to SOQUEM at a deemed price of approximately US$1.50 per share.

Table 1. SOQUEM Royalty Portfolio

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Read the full article here.

#3. GROY Closed 2023 With A Major Announcement Allowing Them To Step On The Gas Early In 2024.

Take a look at this huge important news from December:

Gold Royalty Completes In-vest-ment in Aura's Borborema Project and Strategic Convertible Debenture Financing

VANCOUVER, BC, Dec. 19, 2023 /PRNewswire/ - Gold Royalty Corp. ("Gold Royalty" or the "Company") (NYSE American: GROY) is pleased to announce that, further to its news release dated December 5, 2023, it has completed its in-vest-ment, consisting of a 2% net smelter return royalty on the Borborema gold project (the "Royalty") and a royalty-convertible gold-linked loan, with Borborema Inc., a wholly-owned subsidiary of Aura Minerals Inc. (the "Transaction"). Pursuant to the Transaction, Gold Royalty acquired the Royalty for US$21.0Mn and the royalty-convertible gold-linked loan for US$10.0Mn in cash consideration.

Read the full article here.

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GROY Recap - 3 Key Potential Breakout Catalysts To Know

#1. An Average Analyst Target Points To Huge Upside Potential (Over 150%).

#2. A Major Portfolio Acquisition Shows GROY Means Business (21 Royalties In Total).

#3. GROY Closed 2023 With A Major Announcement Allowing Them To Step On The Gas Early In 2024.

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Coverage is officially initiated on GROY. When there are updates this week, I'll get them out quickly to you. Be ready.

Sincerely,

Axel Adams

Editor, SCF


(Always Remember The St-ock Prices Could Be Significantly Lower Now From The Dates I Provided.)​

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